THE SENATE

S.B. NO.

2432

TWENTY-NINTH LEGISLATURE, 2018

 

STATE OF HAWAII

 

 

 

 

 

 

A BILL FOR AN ACT

 

 

relating to motor vehicle insurance.

 

 

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF HAWAII:

 


     SECTION 1.  Chapter 431, article 10C, Hawaii Revised Statutes, is amended by adding a new section to be appropriately designated and to read as follows:

     "§431:10C-     Personal injury protection benefits; required optional insurance; active duty military personnel.  (a)  Notwithstanding any provision to the contrary in this article, every insurer issuing or renewing a motor vehicle insurance policy in this State shall make personal injury protection benefits available at the option of any insured who is at the time of the issuance or renewal a member in good standing of the National Guard, military reserve, or armed services, including the Coast Guard, and is assigned to a unit in the State.

     (b)  Coverage for personal injury protection benefits shall not apply if an insured who is a member in good standing of the National Guard, military reserve, or armed services, including the Coast Guard, and is assigned to a unit in the State rejects the coverage in writing.

     (c)  Once an insured has been provided the opportunity to purchase or reject the coverage in writing under the option, no further offer is required to be included with any renewal or replacement policy issued to the insurer."

     SECTION 2.  Section 431:10C-301, Hawaii Revised Statutes, is amended by amending subsection (a) to read as follows:

     "(a)  An insurance policy covering a motor vehicle shall provide:

     (1)  Coverage specified in section 431:10C-304; provided that this paragraph shall not apply to an insured who has opted out of the coverage pursuant to section 431:10C-   ; and

     (2)  Insurance to pay on behalf of the owner or any operator of the insured motor vehicle using the motor vehicle with a reasonable belief that the person is entitled to operate the motor vehicle, sums which the owner or operator may legally be obligated to pay for injury, death, or damage to property of others, except property owned by, being transported by, or in the charge of the insured, which arise out of the ownership, operation, maintenance, or use of the motor vehicle; provided that in the case of a U-drive motor vehicle, insurance to pay on behalf of the renter or any operator of the insured motor vehicle using the motor vehicle with the express permission of the renter or lessee, sums which the renter or operator may be legally obligated to pay for damage or destruction of property of others (except property owned by, being transported by, or in the charge of the renter or operator) arising out of the operation or use of the motor vehicle unless the motor vehicle is reported stolen by the owner within three days of notification of the incident; provided that the insurer and owner of a U-drive vehicle shall have the right of subrogation against the renter and operator for breach of the rental contract between owner and renter; and provided further that, in the event that any motor vehicle offered for rental or lease is involved in an accident, the lessor shall provide all information it has or obtains relevant to the accident to all other involved parties upon their request, including but not limited to information about the lessee, and the driver of the vehicle if other than the lessee."

     SECTION 3.  Section 431:10C-303, Hawaii Revised Statutes, is amended to read as follows:

     "§431:10C-303  Right to personal injury protection benefits.  (a)  If the accident causing accidental harm occurs in this State, every person insured under this article, and such person's survivors, suffering loss from accidental harm arising out of the operation, maintenance, or use of a motor vehicle, has a right to personal injury protection benefits[.]; provided that this subsection shall not apply to an insured who has opted out of coverage for personal injury protection benefits pursuant to section 431:10C-   .

     (b)  If the accident causing accidental harm occurs outside this State, the following persons and their survivors suffering loss from accidental harm arising out of the operation, maintenance, or use of a motor vehicle, have a right to personal injury protection benefits as defined in section 431:10C-103.5(a):

     (1)  Insureds as defined in section 431:10C-103; provided that this paragraph shall not apply to an insured who has opted out of coverage for personal injury protection benefits pursuant to section 431:10C-   ; and

     (2)  The driver and other occupants of an insured vehicle, other than a vehicle which is regularly used in the course of the business of transporting persons or property and which is one of five or more vehicles under common ownership."

     SECTION 4.  This Act does not affect rights and duties that matured, penalties that were incurred, and proceedings that were begun before its effective date.

     SECTION 5.  Statutory material to be repealed is bracketed and stricken.  New statutory material is underscored.

     SECTION 6.  This Act shall take effect on January 1, 2019.

 

INTRODUCED BY:

_____________________________

 

 


 


 

Report Title:

Motor Vehicle Insurance; Personal Injury Protection Benefits; Military

 

Description:

Changes personal injury protection benefits under the motor vehicle insurance law from a required coverage to a required optional coverage for active duty military personnel stationed in the State.

 

 

 

The summary description of legislation appearing on this page is for informational purposes only and is not legislation or evidence of legislative intent.